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Desktop Metal (DM) investor relations material
Desktop Metal Q3 2024 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Revenue for Q3 2024 was $36.4M, down 15% year-over-year, with a net loss of $35.4M for the quarter and $191.0M for the nine months ended September 30, 2024.
Gross margin improved to 9% in Q3 2024 from 5% in Q3 2023, driven by cost savings from restructuring initiatives.
The company is undergoing a merger with Nano Dimension Ltd., approved by shareholders and pending regulatory approval.
Substantial doubt exists about the company's ability to continue as a going concern beyond Q1 2025 without additional funding or completion of the merger.
Financial highlights
Q3 2024 revenue was $36.4M, a 15% decrease from Q3 2023; nine-month revenue was $115.9M, down 16% year-over-year.
Net loss for Q3 2024 was $35.4M; net loss for the nine months ended September 30, 2024 was $191.0M.
Gross profit for Q3 2024 was $3.2M, up from $1.9M in Q3 2023; nine-month gross loss was $31.2M.
Cash and cash equivalents at September 30, 2024 were $30.6M, with net cash used in operating activities of $53.4M for the nine months.
Adjusted EBITDA for the nine months ended September 30, 2024 was $(40.6)M, compared to $(59.9)M in the prior year period.
Outlook and guidance
Management expects continued net losses and negative cash flows in the near term and believes current capital resources will support operations into Q1 2025.
At least $50M in annualized cost savings are anticipated from the 2024 Initiative, with completion expected by year-end 2024.
If the merger with Nano Dimension is not completed, additional capital will be required, and there is no assurance of availability.
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